Home / Knowledge / News / Apparel/Garments / UniFirst's Core Laundry segment revenue soars
UniFirst's Core Laundry segment revenue soars
03
Apr '08
The increase in earnings is primarily due to strong revenue growth as well as higher operating margins in the Company's core laundry operations, which excludes the Company's Specialty Garments and First Aid segments. Core laundries revenues increased 21.0% and 16.8% for the quarterly and six month periods, respectively, compared to fiscal 2007.

The core laundries organic growth, which excludes the effects of the extra week, acquisitions and fluctuations in the Canadian exchange rate, was 7.6% and 7.8% for the quarter and six month periods. Even excluding the severance and environmental charges from the fiscal 2007 results, the core laundry operations pro forma operating margins increased significantly from 8.2% and 9.7% in the second quarter and first half of fiscal 2007 to 11.0% and 11.7% for the comparative quarterly and six month periods of fiscal 2008, respectively.

The improvement is primarily due to lower merchandise amortization as well as lower payroll and related costs as a percentage of revenues. Fuel costs associated with our fleet of delivery vehicles continued to climb during the second quarter and have partially offset these benefits.

The Company's Specialty Garments and First Aid segments also produced solid quarterly results contributing to the Company's overall revenue and income growth. In addition, the Company provided for income taxes at a rate of 38.5% for both the second quarter and first six months of fiscal 2008 compared to 39.25% for the comparable 2007 periods.

"We're very pleased with the record results we've produced in the quarter and first half" said UniFirst President and Chief Executive Officer, Ron Croatti. "However, with the prospect of continued weakness in the U.S. economy and a lack of buyer confidence in many business sectors, we're approaching the second half of the year with the appropriate amount of caution."


Must ReadView All

Textiles | On 23rd Jun 2017

Ralph Lauren ex-president Tiger of Sweden's new CEO

Hans-Christian Meyer, former president of Ralph Lauren Corporation,...

Apparel/Garments | On 23rd Jun 2017

Uware Brands into licensing agreement with Polaroid

Uware Brands has entered into a licensing agreement with Polaroid for ...

Textiles | On 23rd Jun 2017

Casper raises total funding of $240 million

Casper, the global sleep company launched three years ago has...

Interviews View All

Shiladitya K Joshi
Truetzschler India Private Limited

India ITME provides a platform to interact with our stakeholders

Anshul Sood
Oceedee

‘Indian footwear market is nascent and largely a trend follower’

Abhimanyu Singh Rathore & Barbara Anna Kosiorek
Kannbar

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
June 2017

June 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search